Stein Corporation issued a $1,600 bond on January 1, year 1. The bond specified an interest rate of 8 percent payable at the end of each year. The bond matures at the end of year 3. It was sold at a market rate of 10 percent per year. The following schedule was completed: Use Table 9C.1, Table 9C.2. January 1, year 1 (issuance) December 31, year 1 December 31, year 2 December 31, year 3. Cash Paid Interest Expense Amortization Carrying Amount ? ? ? $ ? ? $ 24 26 29 $1,520 ? ? ? Required: 1. What was the bond's issue price? (Round "PV factor" to 4 decimal places. Round the final answer to the nearest whole dollar.) Issue price 2-a. Did the bond sell at a discount or a premium? Discount Premium 2-b. How much was the premium or discount? 3. What amount of cash was paid each year for bond interest? Interest payment 4. What amount of interest expense should be shown each year on the statement of earnings? (Round "PV factor" to 4 decimal places. Round the final answers to the nearest whole dollar.) Year Year 1 Year 2 Year 3 Interest expense 5. What amount(s) should be shown on the statement of financial position for bonds payable at each year-end? (For year 3, show the balance just before repayment of the bond.) (Round "PV factor" to 4 decimal places. Round the final answers to the nearest whole dollar.) Year Year 1 Year 2 Year 3 Bonds payable 6. What method of amortization was used? Effective-interest amortization Straight-line amortization 7. This part of the question is not part of your Connect assignment. 8. Did the company use the preferred method of amortization? Yes No